BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1441
                                                                  Page 1

          Date of Hearing:  May 4, 2009

                       ASSEMBLY COMMITTEE ON NATURAL RESOURCES
                                Nancy Skinner, Chair
            AB 1441 (Committee on Agriculture) - As Introduced:  February  
                                      27, 2009
           
          SUBJECT  :  Williamson Act:  lot line adjustments

           SUMMARY  :  Extends the sunset, from January 1, 2010 to January 1,  
          2011, of a provision that allows a city or county and a  
          landowner to mutually agree to simultaneously rescind a  
          Williamson Act contract and enter into a new contract to  
          facilitate lot line adjustments.

           EXISTING LAW  :  Pursuant to the California Land Conservation Act  
          of 1965 (Williamson Act, Chapter 1443, Statutes of 1965):

          1)Authorizes a city or county and a landowner to mutually agree  
            to simultaneously rescind a Williamson Act (Act) contract and  
            enter into a new contract to facilitate lot line adjustments  
            if a city council or board of supervisors finds all of the  
            following:

             a)   The new contract or contracts would enforceably restrict  
               the adjusted boundaries of the parcel for an initial term  
               for at least as long as the unexpired term of the rescinded  
               contract or contracts, but for not less than 10 years.

             b)   There is no net decrease in the amount of the acreage  
               restricted.

             c)   At least 90 percent of the land under the former  
               contract or contracts remains under the new contract or  
               contracts. 

             d)   After the lot line adjustment, the parcels of land  
               subject to contract will be large enough to sustain their  
               agricultural use.

             e)   The lot line adjustment would not compromise the  
               long-term agricultural productivity of the parcel or other  
               agricultural lands subject to a contract or contracts.

             f)   The lot line adjustment is not likely to result in the  








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               removal of adjacent land from agricultural use.

             g)   The lot line adjustment does not result in a greater  
               number of developable parcels than existed prior to the  
               adjustment, or an adjusted lot that is inconsistent with  
               the general plan.

          2)Required the Department of Conservation (DOC) to review the  
            performance of the above provision in a bi-annual report due  
            in 2008.

          3)Sunsets the above provision in January 1, 2010.

           FISCAL EFFECT  :  Unknown

           COMMENTS  :  The Williamson Act (Act) conserves agricultural lands  
          and open space by allowing landowner to voluntarily enter into a  
          contract with cities and counties, restricting their land to  
          agriculture, open space, and compatible uses for 10 years in  
          exchange for lower property tax assessments.  The contracts  
          automatically renew each year so that the term is always 10  
          years in the future.  A landowner may cancel or not renew a  
          contract under specific conditions.

          This bill allows landowners to make minor lot line adjustments  
          (LLA) without resorting to canceling or non-renewing a  
          Williamson Act contract.

          According to DOC, who administers the Act, the LLA provisions  
          are:

               [A] very useful tool for landowners and local agencies.   
               The ability of landowners to adjust the boundaries of their  
               properties is often necessary given the requirements of  
               agricultural financing, migration of natural boundaries,  
               and intra-family property transfers.  Absent a statutory  
               mechanism that explicitly authorizes and guides LLA?the  
               practical necessity to do so may induce some landowners to  
               utilize extra legal methods that may create uncertainty in  
               property rights.  Unless the sunset date is extended or  
               deleted, there will be no efficient, direct means to make  
               minor boundary adjustments?after January 1, 2010.

          Landowners may also choose to non-renew or remove land from a  
          contract as the only way to adjust parcel boundaries.  DOC  








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          believes that this could result in "unnecessary and regrettable  
          conversion of agricultural land to other uses.

           Previous legislation  

          AB 2921 (Laird), Statutes 2008, Chapter 503 attempted to reform  
          the Act's LLAs mechanism in a comprehensive fashion, thereby  
          eliminating the sunset.  However, the Senate Local Government  
          Committee chose to defer action on LLAs until DOC submits its  
          report to the Legislature on the subject.  In the interim, it is  
          appropriate to continue extending the sunset.

           REGISTERED SUPPORT / OPPOSITION :

           Support 
           
          None on file

           Opposition 
           
          None on file

           
          Analysis Prepared by  :  Dan Chia / NAT. RES. / (916) 319-2092